Company Delivers Full-Year 2017 Revenue
Growth
Digital Revenues Grow to 32% of Total
Revenue
Gannett Co., Inc. (NYSE:GCI) ("Gannett" or "company" or "we" or
"our") today reported fourth quarter and full-year 2017 financial
results for the period ended December 31, 2017. Our full-year
2017 results include 53 weeks as compared to 52 weeks in 2016, with
the extra week impacting the fourth quarter. For comparability
purposes, our same store revenue comparisons exclude the 53rd
week.
"We are pleased with our financial results for the full-year
2017. Digital revenues grew to $1.0 billion and now comprise 31.6%
of total revenues, evidence that our transformation to a
next-generation media company is well underway," said Robert J.
Dickey, president and chief executive officer. "Additionally, we
delivered year-over-year revenue growth and flat Adjusted EBITDA,
despite continued secular pressures in print advertising and
circulation."
Dickey continued, "In the fourth quarter, we improved Adjusted
EBITDA, despite a more challenging print advertising environment
than expected. Strong profitability gains in our ReachLocal segment
and solid overall cost management offset print revenue pressures.
Looking ahead to 2018, we remain focused on growing our marketing
solutions and consumer businesses, while driving additional
operating efficiencies."
"We are excited by the momentum in the ReachLocal North America
business, especially with the newly migrated Gannett clients,” said
Sharon Rowlands, president of USA TODAY NETWORK Marketing Solutions
and chief executive officer of ReachLocal. "There is a tremendous
opportunity to increase penetration across our local markets by
growing both new digital marketing services customers and wallet
share. In 2018, we plan to capitalize on this significant
opportunity with our newly aligned sales organization, which we
expect will drive revenue growth and margin improvement."
Fourth Quarter 2017 Consolidated Results
- Operating revenues were $854.2 million,
including approximately $49.1 million from the 53rd week, compared
to $867.0 million in the prior year quarter.
- Favorable changes in foreign currency
exchange rates benefited revenues by $4.2 million.
- Same store operating revenues declined
8.8%, an improvement compared to a decline of 9.4% in the third
quarter of 2017, due to our strategic subscriber pricing
initiatives and the inclusion of a full quarter of ReachLocal
revenue in our same store calculation.
- Total digital revenues increased to
$272.3 million, or approximately 31.9% of total revenue.
- GAAP net losses were $13.6 million,
including a $42.8 million tax expense from the Tax Cuts and Jobs
Act of 2017 and $27.6 million of after-tax restructuring, asset
impairment charges and other costs.
- The effective tax rate was impacted by
one-time items related to the reduction in deferred tax assets that
resulted from the decrease in the federal statutory tax rate from
35% to 21% and valuation allowances recorded on certain deferred
tax assets. The effective tax rate for the fourth quarter
without charges related to our deferred tax assets and other
adjustments was 25.7%.
- Adjusted EBITDA (1) totaled $132.7
million compared to $129.8 million in the prior year quarter with a
50 basis point margin improvement year-over-year; the 53rd week
contributed approximately $3.6 million in Adjusted EBITDA.
Fourth Quarter 2017 Publishing Segment
- Publishing segment operating revenues
were $764.8 million compared to $790.5 million in the prior year
quarter.
- Same store publishing segment operating
revenues declined 10.0% year-over-year.
- Same store print advertising revenues
declined 18.5% year-over-year, consistent with the 18.7% decline in
the third quarter of 2017.
- Same store circulation revenues fell
6.7% from the prior year quarter compared to a 7.6% decline in the
third quarter of 2017, primarily reflecting the positive impact
from our subscriber pricing strategies.
- Digital-only subscriber volumes grew
49.5% year-over-year and now total approximately 341,000.
- Digital advertising revenues increased
7.3% to $118.9 million compared to the prior year quarter.
- Same store digital revenues increased
0.7% with growth in areas such as digital marketing services,
audience extension, mobile and branded content, offset in part by
weaknesses in digital classified and local desktop display.
- Publishing segment Adjusted EBITDA was
$149.2 million compared to $145.9 million in the prior year quarter
reflecting continued operational efficiencies.
Fourth Quarter 2017 ReachLocal Segment
- Operating revenues were $101.4 million,
a 34.9% increase compared to the prior year quarter; excluding the
53rd week, the increase was approximately 25.6%.
- The increase was attributable to
continued solid growth in North America and the migration of
Gannett clients onto the ReachLocal platform.
- Adjusted EBITDA was $7.0 million,
representing a 6.9% margin, up from the 5.6% margin in the third
quarter.
- Improved profitability in the quarter
was driven by solid growth in average revenue per client due to
more successful cross-selling and the continued ramp up of Gannett
clients on the ReachLocal platform.
Fourth Quarter 2017 Cash Flow
- Net cash flow from operating activities
was approximately $72.8 million compared to $47.6 million in the
prior year quarter.
- Capital expenditures were approximately
$25.4 million, primarily for product development, technology
investments, and maintenance projects.
- The company paid dividends of $17.9
million; there were no share repurchases.
- The company had a cash balance of
$120.6 million and a balance on its revolving line of credit of
$355.0 million, or net debt of $234.4 million.
- Long-term pension liabilities totaled
$421.9 million at year end, down $256.1 million from the end of the
third quarter 2017 primarily due to strong asset returns during
2017.
Subsequent Event
On February 5th, we closed on the sale of one of two parcels of
property in downtown Nashville, generating net proceeds of
approximately $38 million. The second parcel is planned to close in
the second quarter of 2018 for an additional $6 million. We have
entered into a leaseback for the next 15 months. As a result of the
sale, plus additional cash generated during the first quarter, we
have paid down an additional $50 million on our revolver in the
first quarter, resulting in a revolver balance of $305 million.
Outlook
For 2018, the company expects the following:
- Consolidated revenues of $2.930-3.030
billion.
- Consolidated Adjusted EBITDA of
$330-340 million.
- The slight margin compression reflects
rising newsprint prices, our continued transformation to digital
and a contribution to our charitable foundation.
- Capital expenditures of $65-75 million,
excluding real estate projects.
- Depreciation and amortization of
$140-150 million, excluding accelerated depreciation related to
facility consolidations.
- The non-operating cost associated with
our pension plans, recorded in other non-operating items, is
currently estimated to be a credit of $5-10 million as compared to
an expense of $21 million in 2017.
- An effective tax rate between 25% and
27%.
We will be moving our reporting calendar to the Gregorian
calendar in 2018 as compared to our 5-4-4 reporting calendar in
2017. From a quarterly perspective, this change will impact our
traditional print operations as we will lose one Sunday in the
first quarter of 2018 and gain one Sunday in the third quarter. As
Sundays are our most profitable days, this change will reduce our
first quarter margin and benefit our third quarter margin.
Additionally, we expect softer revenue and Adjusted EBITDA in the
first quarter as our sales transition is implemented but do
anticipate trend improvement in total advertising revenues and
Adjusted EBITDA margins as we progress throughout the year.
1 The company defines adjusted EBITDA as earnings before
income taxes, interest expense, equity income, other non-operating
items, restructuring costs, acquisition-related expenses, asset
impairment charges, depreciation, amortization and other items.
Because of the variability of these and other items as well as the
impact of future events on these items, management is unable to
reconcile without unreasonable effort the company's forecasted
range of adjusted EBITDA for the full year to a comparable GAAP
range.
* * * *
Conference Call Information
The company will hold a conference call at 10:00 a.m. ET today
to discuss its fourth quarter results. The call can be accessed via
a live webcast through the company's investor site, http://investors.gannett.com/, or listen-only
conference lines. U.S. callers should dial 855-462-1958 and
international callers should dial 503-343-6635 at least 10 minutes
prior to the scheduled start of the call. The confirmation code for
the conference call is 1798915. A conference call replay will be
available through March 31, 2018. U.S. callers should dial (855)
859-2056 and international callers should dial (404) 537-3406.
Forward Looking Statements
This press release contains certain forward-looking statements
regarding business strategies, market potential, future financial
performance and other matters. Forward-looking statements include
all statements that are not historical facts. The words “believe,”
“expect,” “estimate,” “could,” “should,” “intend,” “may,” “plan,”
“seek,” “anticipate,” “project” and similar expressions, among
others, generally identify forward-looking statements, which speak
only as of the date the statements were made and are not guarantees
of future performance. Where, in any forward-looking statement, an
expectation or belief as to future results or events is expressed,
such expectation or belief is based on the current plans and
expectations of our management and expressed in good faith and
believed to have a reasonable basis, but there can be no assurance
that the expectation or belief will result or be achieved or
accomplished. Whether or not any such forward-looking statements
are in fact achieved will depend on future events, some of which
are beyond our control. The matters discussed in these
forward-looking statements are subject to a number of risks,
trends, uncertainties and other factors that could cause actual
results to differ materially from those projected, anticipated or
implied in the forward-looking statements. These factors include,
among other things:
- our ability to achieve our strategic
transformation;
- an accelerated decline in general print
readership and/or advertiser patterns as a result of competitive
alternative media or other factors;
- an inability to adapt to technological
changes or grow our digital businesses;
- risks associated with the operation of
an increasingly digital business, such as rapid technological
changes, frequent new product introductions, declines in web
traffic levels, technical failures and proliferation of ad blocking
technologies;
- macroeconomic trends and
conditions;
- competitive pressures in the markets in
which we operate;
- increases in newsprint costs over the
levels anticipated or declines in newsprint supply;
- potential disruption or interruption of
our IT systems due to accidents, extraordinary weather events,
civil unrest, political events, terrorism or cyber security
attacks;
- variability in the exchange rate
relative to the U.S. dollar of currencies in foreign jurisdictions
in which we operate;
- risks and uncertainties related to
strategic acquisitions or investments, including distraction of
management attention, incurrence of additional debt, integration
challenges, and failure to realize expected benefits or synergies
or to operate businesses effectively following acquisitions;
- risks and uncertainties associated with
our ReachLocal segment, including its significant reliance on
Google for media purchases, its international operations and its
ability to develop and gain market acceptance for new products or
services;
- our ability to protect our intellectual
property or defend successfully against infringement claims;
- our ability to attract and retain
employees;
- labor relations, including, but not
limited to, labor disputes which may cause business interruptions,
revenue declines or increased labor costs;
- risks associated with our underfunded
pension plans;
- adverse outcomes in litigation or
proceedings with governmental authorities or administrative
agencies, or changes in the regulatory environment, any of which
could encumber or impede our efforts to improve operating results
or the value of assets;
- volatility in financial and credit
markets which could affect the value of retirement plan assets and
our ability to raise funds through debt or equity issuances and
otherwise affect our ability to access the credit and capital
markets at the times and in the amounts needed and on acceptable
terms; and
- other uncertainties relating to general
economic, political, business, industry, regulatory and market
conditions.
A further description of these and other important risks,
trends, uncertainties and other factors is provided in the
company’s filings with the U.S. Securities and Exchange Commission,
including the company’s annual report on Form 10-K for fiscal year
2016. Any forward-looking statements should be evaluated in light
of these important risk factors. The company is not responsible for
updating or revising any forward-looking statements, whether as a
result of new information, future events or otherwise, except as
required by law.
Non-GAAP Financial Measures
This press release also contains a discussion of certain
non-GAAP financial measures that the company presents to allow
investors and analysts to measure, analyze and compare its
financial condition and results of operations in a meaningful and
consistent manner. A reconciliation of these non-GAAP financial
measures to the most directly comparable GAAP measures can be found
in the tables accompanying this press release.
About Gannett
Gannett Co., Inc. (NYSE: GCI) is an innovative, digitally
focused media and marketing solutions company committed to
strengthening communities across our network. With an unmatched
local-to-national reach, Gannett touches the lives of more than 110
million people monthly with our Pulitzer-Prize winning content,
consumer experiences and benefits, and advertiser products and
services. Gannett brands include USA TODAY NETWORK with the iconic
USA TODAY and more than 100 local media brands, digital marketing
services companies ReachLocal and SweetIQ, and U.K. media company
Newsquest. To connect with us, visit www.gannett.com.
CONSOLIDATED STATEMENTS OF INCOME (LOSS)
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands (except per share
amounts)
Table No. 1 Three months
ended Year ended
December 31,2017
December 25,2016
December 31,2017
December 25,2016
Operating revenues: Advertising $ 490,096 $ 513,687 $
1,791,618 $ 1,703,795 Circulation 299,364 297,804 1,120,739
1,133,676 Other 64,782 55,503 234,123 210,003
Total operating revenues 854,242 866,994
3,146,480 3,047,474
Operating
expenses: Cost of sales and operating expenses * 507,008
531,024 1,959,638 1,927,895 Selling, general and administrative
expenses * 216,648 214,134 836,306 795,548 Depreciation and
amortization 43,432 41,114 191,885 132,964 Asset impairment charges
26,780 25,003 46,796 55,940 Restructuring costs 16,118
16,703 44,284 45,757
Total operating
expenses 809,986 827,978 3,078,909
2,958,104
Operating income 44,256 39,016
67,571 89,370
Non-operating
expenses: Interest expense (4,821 ) (4,282 ) (17,142 ) (12,791
) Other non-operating items, net 423 (579 ) (9,688 ) (10,151
)
Total non-operating expenses (4,398 ) (4,861 ) (26,830 )
(22,942 )
Income before income taxes 39,858 34,155
40,741 66,428 Provision for income taxes ** 53,449 9,561
33,854 13,718
Net income (loss) $
(13,591 ) $ 24,594 $ 6,887 $ 52,710
Earnings (loss) per share - basic $ (0.12 ) $ 0.21 $ 0.06 $
0.45
Earnings (loss) per share - diluted $ (0.12 ) $ 0.21 $
0.06 $ 0.44
Weighted average number of common shares
outstanding: Basic 111,787 114,688 113,047 116,018 Diluted
111,787 117,053 115,610 118,625 * The company early
adopted Financial Accounting Standards Board ("FASB") guidance
requiring changes to the presentation of net periodic pension and
other postretirement benefit costs. Specifically, this guidance
requires entities to classify the service cost component of the net
benefit cost in the same income statement line item as other
employee compensation costs while all other components of net
benefit cost must be presented as non-operating items. The guidance
further requires such classification changes to be retrospectively
applied beginning in the interim period in which the guidance is
adopted. As a result of adopting this guidance, in the fourth
quarter and year ended December 25, 2016, operating income and
other non-operating expenses increased $2.8 million and $10.3
million, respectively. Net income, retained earnings, and earnings
per share remained unchanged. ** The provision for income
taxes for the fourth quarter and year ended December 31, 2017
includes incremental tax expense of $42.8 million as a result of
the U.S. Tax Cuts and Jobs Act passed in December 2017 and tax
expense of $7.7 million related to the revaluation of a deferred
tax asset associated with a deferred intercompany transaction.
Further, the tax provision for the fourth quarter and year ended
December 31, 2017 is partially offset by a benefit of $0.9 million
and $21.0 million, respectively, related to a worthless stock and
debt deduction for one of our ReachLocal international
subsidiaries.
SEGMENT INFORMATION
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 2 Three months
ended Year ended
December 31,2017
December 25,2016
December 31,2017
December 25,2016
Operating revenues: Publishing $ 764,801 $ 790,474 $
2,812,243 $ 2,933,095 ReachLocal 101,420 75,167 358,728 110,144
Corporate and Other 1,488 1,353 4,835 4,235 Intersegment
eliminations (13,467 ) — (29,326 ) — Total $ 854,242
$ 866,994 $ 3,146,480 $ 3,047,474
Adjusted EBITDA: Publishing $ 149,184 $ 145,947 $
432,420 $ 444,108 ReachLocal 6,961 892 16,553 (5,852 ) Corporate
and Other (23,401 ) (16,994 ) (89,040 ) (78,361 ) Total $ 132,744
$ 129,845 $ 359,933 $ 359,895
Depreciation and amortization: Publishing $ 29,098 $ 28,583
$ 135,214 $ 105,102 ReachLocal 8,398 8,312 33,902 12,236 Corporate
and Other 5,936 4,219 22,769 15,626
Total $ 43,432 $ 41,114 $ 191,885 $ 132,964
Capital expenditures: Publishing $ 12,116 $
9,234 $ 35,702 $ 34,324 ReachLocal 3,967 2,927 16,871 4,123
Corporate and Other 9,358 2,886 19,752 21,601
Total $ 25,441 $ 15,047 $ 72,325 $
60,048
REVENUE DETAIL
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 3 Three months ended
December 31,2017
December 25,2016
% Change
Reported revenue $ 854,242 $ 866,994 (1.5 %)
Acquired revenue (9,937 ) — *** Currency impact (4,232 ) — ***
Exited operations — 587 *** 53rd week (49,074 ) — ***
Same store revenue $ 790,999 $ 867,581 (8.8 %)
Reported advertising revenue $ 490,096 $ 513,687 (4.6
%) Acquired revenue (5,012 ) — *** Currency impact (2,648 ) — ***
53rd week (26,826 ) — ***
Same store advertising
revenue $ 455,610 $ 513,687 (11.3 %)
Reported circulation revenue $ 299,364 $ 297,804 0.5 %
Acquired revenue (982 ) — *** Currency impact (1,209 ) — *** 53rd
week (19,329 ) — ***
Same store circulation revenue $
277,844 $ 297,804 (6.7 %)
Table No. 4
Three months ended
December 31,2017
December 25,2016
% Change
Publishing revenue detail Print advertising
$ 293,606 $ 334,414 (12.2 %) Digital advertising: External sales
106,831 110,832 (3.6 %) Intersegment sales 12,085 —
*** Total digital advertising 118,916 110,832 7.3 %
Total advertising 412,522 445,246 (7.3 %)
Circulation 299,364 297,804 0.5 % Other: External sales
51,533 47,424 8.7 % Intersegment sales 1,382 — ***
Total other 52,915 47,424 11.6 % Total
Publishing revenue $ 764,801 $ 790,474 (3.2 %)
USE OF NON-GAAP
INFORMATION
The company uses non-GAAP financial performance and liquidity
measures to supplement the financial information presented on a
GAAP basis. These non-GAAP financial measures, which may not be
comparable to similarly titled measures reported by other
companies, should not be considered in isolation from or as a
substitute for the related GAAP measures and should be read
together with financial information presented on a GAAP basis.
The company defines its non-GAAP measures as follows:
- Adjusted EBITDA is a non-GAAP
financial performance measure that the company believes offers a
useful view of the overall operation of our business. The company
defines adjusted EBITDA as net income before (1) income taxes,
(2) interest expense, (3) equity income, (4) other
non-operating items, (5) restructuring costs, (6)
acquisition-related expenses (including certain integration
expenses), (7) asset impairment charges, (8) other items
(including certain business transformation costs, litigation
expenses, multi-employer pension withdrawals, and gains or losses
on certain investments), (9) depreciation, and
(10) amortization. The most directly comparable GAAP financial
measure is net income.
- Adjusted net income is a
non-GAAP financial performance measure that the company uses for
calculating adjusted earnings per share ("EPS"). Adjusted net
income is defined as net income before the adjustments we apply in
calculating adjusted EPS, as described below. We believe presenting
adjusted net income is useful to enable investors to understand how
we calculate adjusted EPS, which provides a useful view of the
overall operation of the company's business. The most directly
comparable GAAP financial measure is net income.
- Adjusted diluted EPS is a
non-GAAP financial performance measure that the company believes
offers a useful view of the overall operation of our business. The
company defines adjusted EPS as EPS before tax-effected
(1) restructuring costs, (2) asset impairment charges,
(3) acquisition-related expenses (including certain
integration expenses), (4) non-operating (gains) losses, and (5)
other items (including certain business transformation expenses,
litigation expenses, multi-employer pension withdrawals and gains
or losses on certain investments). The tax impact on these non-GAAP
tax deductible adjustments is based on the estimated statutory tax
rates for the United Kingdom of 19.25% and the United States of
38.7%. In addition, tax is adjusted for the impact of
non-deductible acquisition costs, a tax benefit related to a
worthless stock and debt deduction, tax expense associated with new
tax rates in the U.S. Tax Cuts and Jobs Act, and revaluation of a
deferred tax asset associated with a deferred intercompany
transaction. The most directly comparable GAAP financial measure is
diluted EPS.
- Free cash flow is a non-GAAP
liquidity measure that adjusts our reported GAAP results for items
that we believe are critical to the ongoing success of our
business. The company defines free cash flow as cash flow from
operating activities as reported on the statement of cash flows
less capital expenditures, which results in a figure representing
free cash flow available for use in operations, additional
investments, debt obligations, and returns to shareholders. The
most directly comparable GAAP financial measure is net cash from
operating activities.
The company uses non-GAAP financial measures for purposes of
evaluating its performance and liquidity. Therefore, the company
believes that each of the non-GAAP measures presented provides
useful information to investors by allowing them to view our
businesses through the eyes of our management and Board of
Directors, facilitating comparison of results across historical
periods, and providing a focus on the underlying ongoing operating
performance of our business. Many of our peer group companies
present similar non-GAAP measures to better facilitate industry
comparisons.
NON-GAAP FINANCIAL INFORMATION ADJUSTED EBITDA
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 5 Three months
ended December 31, 2017 Publishing ReachLocal
Corporate andOther
ConsolidatedTotal
Net loss (GAAP basis) $ (13,591 ) Provision for income taxes
53,449 Interest expense 4,821 Other non-operating items, net (423 )
Operating income (loss) (GAAP basis) $ 80,313 $ (2,071 ) $ (33,986
) $ 44,256 Depreciation and amortization 29,098 8,398 5,936 43,432
Asset impairment charges 26,780 — — 26,780 Restructuring costs
13,411 466 2,241 16,118 Acquisition-related items 45 — 505 550
Other items (463 ) 168 1,903 1,608 Adjusted
EBITDA (non-GAAP basis) $ 149,184 $ 6,961 $ (23,401 )
$ 132,744 Three months ended December
25, 2016 Publishing ReachLocal
Corporate andOther
ConsolidatedTotal
Net income (GAAP basis) $ 24,594 Provision for income taxes
9,561 Interest expense 4,282 Other non-operating items, net 579
Operating income (loss) (GAAP basis) $ 72,121 $ (7,498 ) $
(25,607 ) $ 39,016 Depreciation and amortization 28,583 8,312 4,219
41,114 Asset impairment charges 25,003 — — 25,003 Restructuring
costs 16,539 78 86 16,703 Acquisition-related items 641 — 2,987
3,628 Other items 3,060 — 1,321 4,381
Adjusted EBITDA (non-GAAP basis) $ 145,947 $ 892 $
(16,994 ) $ 129,845
NON-GAAP FINANCIAL
INFORMATION ADJUSTED EBITDA
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 5 (continued)
Year ended December 31, 2017 Publishing ReachLocal
Corporate andOther
ConsolidatedTotal
Net income (loss) (GAAP basis) $ 6,887 Provision for income
taxes 33,854 Interest expense 17,142 Other non-operating items, net
9,688 Operating income (loss) (GAAP basis) $ 219,677 $ (18,939 ) $
(133,167 ) $ 67,571 Depreciation and amortization 135,214 33,902
22,769 191,885 Asset impairment charges 46,796 — — 46,796
Restructuring costs 37,376 980 5,928 44,284 Acquisition-related
items 375 43 4,784 5,202 Other items (7,018 ) 567 10,646
4,195 Adjusted EBITDA (non-GAAP basis) $ 432,420 $
16,553 $ (89,040 ) $ 359,933 Year ended
December 25, 2016 Publishing ReachLocal
Corporate andOther
ConsolidatedTotal
Net income (loss) (GAAP basis) $ 52,710 Provision for income
taxes 13,718 Interest expense 12,791 Other non-operating items, net
10,151 Operating income (loss) (GAAP basis) $ 235,398 $ (18,728 ) $
(127,300 ) $ 89,370 Depreciation and amortization 105,102 12,236
15,626 132,964 Asset impairment charges 55,940 — — 55,940
Restructuring costs 45,031 640 86 45,757 Acquisition-related items
777 — 31,906 32,683 Other items 1,860 — 1,321
3,181 Adjusted EBITDA (non-GAAP basis) $ 444,108 $ (5,852 )
$ (78,361 ) $ 359,895
NON-GAAP FINANCIAL
INFORMATION ADJUSTED DILUTED EPS
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands (except per share
amounts)
Table No. 6 Three months
ended Year ended
December 31,2017
December 25,2016
December 31,2017
December 25,2016
Asset impairment charges $ 26,780 $ 25,003 $ 46,796 $ 55,940
Restructuring costs (including accelerated depreciation) 22,534
19,921 88,331 48,975 Acquisition-related items 550 3,628 5,202
32,683 Non-operating (gains) losses (5,725 ) 1,964 (4,710 ) 3,115
Other items (97 ) 3,060 (3,276 ) 1,860 Pretax impact
44,042 53,576 132,343 142,573 Income tax impact of above items
(16,450 ) (20,196 ) (50,826 ) (50,609 ) Estimated effect of U.S.
statutory tax rate change 42,776 — 42,776 — Other tax-related items
6,834 — (12,169 ) — Impact of items affecting
comparability on net income $ 77,202 $ 33,380 $
112,124 $ 91,964 Net income (loss) (GAAP
basis) $ (13,591 ) $ 24,594 $ 6,887 $ 52,710 Impact of items
affecting comparability on net income (loss) 77,202 33,380
112,124 91,964 Adjusted net income (non-GAAP
basis) $ 63,611 $ 57,974 $ 119,011 $ 144,674
Earnings (loss) per share - diluted (GAAP basis) $
(0.12 ) $ 0.21 $ 0.06 $ 0.44 Impact of items affecting
comparability on net income (loss) 0.67 0.29 0.97
0.78 Adjusted earnings per share - diluted (non-GAAP
basis) $ 0.55 $ 0.50 $ 1.03 $ 1.22
Diluted weighted average number of common shares outstanding
(GAAP basis) 111,787 117,053 115,610 118,625 Diluted weighted
average number of common shares outstanding (non-GAAP basis)
115,477 117,053 115,610 118,625
NON-GAAP FINANCIAL
INFORMATION FREE CASH FLOW
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 7
Three months endedDecember 31, 2017
Year ended December31, 2017
Net cash flow from operating activities (GAAP basis) $
72,777 $ 236,468 Capital expenditures (25,441 ) (72,325 ) Free cash
flow (non-GAAP basis) $ 47,336 $ 164,143
View source
version on businesswire.com: http://www.businesswire.com/news/home/20180220005601/en/
Gannett Co., Inc.For investor inquiries:Stacy
Cunningham, 703-854-3168VP, Financial Planning & Investor
Relationsinvestors@gannett.comorThe Blueshirt GroupBrinlea
Johnsoninvestors@gannett.comorFor media inquiries:Amber
Allman, 703-854-5358Vice President, Corporate Events &
Communicationsaallman@gannett.com
New Gannett (NYSE:GCI)
Historical Stock Chart
From Apr 2024 to May 2024
New Gannett (NYSE:GCI)
Historical Stock Chart
From May 2023 to May 2024